The study investigates whether world conditions have changed to the extent that current policies which guide the national space effort may be in need of review. It examines, historically, how the space efforts of the United States and the Soviet Union have evolved. Primary emphasis is placed on the policy direction which has brought each of the national space programs up to the present. Technological factors have made a very significant impact upon the development of the space programs of both nations. Therefore, technological problems and opportunities are examined in detail. The study focuses on four fundamental issues which confront the national space effort as we enter the third decade in space. These issues are: (1) The overlap and convergence between civil and military programs. (2) The question of whether 'space for peaceful purposes' continues to remain a valid policy alternative. (3) How dependent have we become upon space. (4) Is space an arena where we have vital interests as a sovereign nation. The study conclusions are that we may have passed a significant turning point in space and, therefore, the time is overdue for a comprehensive review of our national space effort.